The J. M. Smucker Company Announces Fiscal 2015 First Quarter Results

Aug 20, 2014

ORRVILLE, Ohio, Aug. 20, 2014 /PRNewswire/ -- The J. M. Smucker Company (NYSE: SJM) today announced results for the first quarter ended July 31, 2014, of its 2015 fiscal year. Results for the quarter ended July 31, 2014, include the operations of Enray Inc. ("Enray") since the completion of the acquisition on August 20, 2013, and the impact of the Company's licensing and distribution agreement with Cumberland Packing Corp. ("Cumberland"), which commenced on July 1, 2013.

First quarter net sales decreased 2 percent in 2015, compared to 2014, reflecting lower net price realization, particularly related to coffee, and the continued impact of the Company's exit of its private label hot beverage business in its International, Foodservice, and Natural Foods segment during 2014.

Operating income excluding the impact of restructuring and merger and integration costs and unallocated derivative gains and losses ("certain items affecting comparability") increased 3 percent in the first quarter of 2015, compared to 2014, primarily attributed to an increase in gross profit.

Income excluding certain items affecting comparability increased 6 percent in the first quarter of 2015, compared to 2014, due to the increase in operating income and a decrease in interest expense.

First quarter income per diluted share, excluding certain items affecting comparability, increased 11 percent in 2015, compared to 2014, and benefited from the Company's share repurchase activities over the past year which reduced weighted average shares outstanding by 4 percent.

"We are pleased with the start to our fiscal year as we achieved record non-GAAP earnings per share for the quarter," said Richard Smucker, Chief Executive Officer. "Our team continues to focus on profitably building our brands, driving innovation, and optimizing our supply chain. There is little doubt that the operating environment is challenging. However, our brands are well positioned to perform in this competitive market." Full report.